THE FUTURE IS GOLDEN
Mining Feature
Gold Fields Chile
The Future is GOLDEN 2
Issue 101 · Business Enquirer Magazine
Business Enquirer Magazine · Issue 101
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PROJECT DIRECTED BY
WRITTEN BY
Malvern Kandemwa
Jay Benmehidi
Mining Feature
S
outh America has long been a magnet for global mining companies due to its rich mineral wealth, most notably in gold, silver and copper, and the continent now hosts some of the largest mineral production companies in the world. In countries such as Chile and Peru, where the mining industry accounts for around 10% of total GDP up to 60% of exports, mining is the top export sector, and it continues to grow thanks to investment, both foreign and domestic, into the development of new projects. Following on from the previous success of the Cerro Corona mine, in operation in Peru since 2012, Gold Fields Ltd. has since returned to South America, this time selecting Chile as it’s area of operation. The new open pit mine, Salares Norte, is situated in the mineral rich region of Diego de Almagro, roughly 330km from the major city of Copiapo, between 3,900 and 4,700 meters above sea level, and sits above an epithermal gold and silver deposit. The mine is currently under development and is expected to be fully operational by 2023.
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Issue 101 · Business Enquirer Magazine
Originally discovered in 2011 as part of an extensive programme of exploration into the Northern end of the Maricunga metallogenic belt, a metallogenic unit containing at least 14 zones of both gold and silver mineralisation, Gold Fields began formal construction of its mining infrastructure in early 2021. So long as construction work is completed on-time and on-budget, it is anticipated that Salares Norte will be fully operational by the end of 2022, and ready to produce first gold for 2023. The mine will initially focus on two separate deposits (The Brecha Principal and Agua Amarga) which will eventually meet to form one pit. The pandemic presented an unprecedented challenge to businesses in nearly every industry around the world, and mining sector was no exception. With so many people employed, ensuring the health and safety of employees was difficult, however Gold Fields’ prompt response to the COVID-19 pandemic meant that, despite initial setbacks, construction of the mine was able to continue safely and on schedule.
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Mining Feature
Gold Fields Chile
Company CEO Nick Holland stated: “The early actions taken in response to the pandemic and our peoples’ commitment enabled us to navigate the challenges of this unprecedented and highly complex situation and remain on track with the production schedule.”
duce its ecological footprint, such as filtered tailings to optimise water use and reduce waste, and also solar energy to greatly reduce reliance on fossil fuels to keep the site operational.
Pre-stripping of the mine and construction of the processing plant began in January of this year and, to date, development of the site is approximately 15% complete, now that the mining camp, which offers housing for around 1,800 people, has been built. In addition to this, much of the supporting infrastructure has been completed, as well as access roads into the site.
Salares Norte is located on a Northern section of the Maricunga metallogenic belt which contains reserves of around 420 metric tonnes of gold and 14,000 metric tonnes of silver. The mine is expected to produce around 450,000 ounces of gold per year for the first seven years and a total of 3.7 million ounces over its initial life span of 11 years. The estimated capital expenditure is set to exceed US$880 million, a number that pales when compared with the mines potential output US$7bn in gold.
Salares Norte aims to be as sustainable as possible and will rely on technologies that re-
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Issue 101 · Business Enquirer Magazine
Production Forecasts
Facilitating diversity and safety
The backbone of any Gold Fields endeavour is their workforce, and as a company they strive to create a culture of collaboration wherein they hire a diverse team of qualified, able people who are assessed on both their performance and their dedication to upholding the values of the company. These values include a promise of meaningful communication between all levels of the company and setting in place a culture of fairness and flexibility. Gold Fields invests heavily in their employees, as is evidenced by the US$1,211 spent on per person on training in 2020. The company strives to treat all employees with respect and focuses heavily on ensuring that the health & safety of every member in the workforce is prioritised, as evidenced by the company’s unbending commitment to creating a zero fatality workspace.
The construction period of the Salares Norte project is expected to create around 2,700 jobs during its peak, emphasising Gold Fields dedication to giving back to the communities in which they operate. Gold Fields attribute much of their success to their policy of hiring people from the catchment areas of their mines, ensuring that local communities receive the greatest benefits of production. In addition to the 2,700 employed during the construction phase, the mine will employ around 900 full-time employees and contractors once it has entered full commercial operations.
The construction period of the Salares Norte project is expected to create around 2,700 jobs during its peak
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Mining Feature The project is expected to bring many benefits to the region to the surrounding area, and will stimulate real economic growth for surrounding communities. Project Director for the Salares Norte mine, Max Combes stated: “A project like Salares Norte generates a very valuable production chain in the industry along with important economic opportunities in the region.”
With careful planning and foresight, based on the idea that you must give back as much as you take, that the company has created a blueprint on how to flourish in the industry and also act responsibly by ensuring that local communities who are most at risk of exploitation play a lead role. With construction under way, the future for Salares Norte looks golden indeed.
The Sustainable Future of the Industry
Gold Fields is showing the industry how it’s done, insofar as going about sustainable mining is concerned. Gold Fields are rightfully regarded as the global leader in sustainable gold mining. The company’s commitment to ethical operation is a welcome example of how to do business the right way in the industry. Gold Fields understands that many of the communities that they operate alongside have a rich cultural heritage and have sought to ensure that sacred and significant sites of indigenous communities are identified and adequately protected as a priority before any construction can be allowed to begin. Construction is underway at the Salares Norte site Salares Norte project location in Chile’s Atacama desert
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Gold Fields Chile Salares Norte info@goldfields.com www.goldfields.com
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